Russian stocks may rise on news of deal with OPEC+
MOSCOW, Sep 1 (PRIME) -- The Russian stock market may increase at opening on Friday after Deputy Prime Minister Alexander Novak announced an oil export cut deal with the OPEC plus alliance, analysts said.
"The technical picture on the Russian stock market improved significantly yesterday in general. The MOEX Russia Index managed to hit an annual high and close significantly above the resistance of 3,220, paving the way to 3,300," head of Alor Broker’s investment consulting department Alexei Antonov said.
"But we must be cautious on this way. There are no big drivers for the market to rise, oil can fall any moment, while the ruble devaluation is expected to be very gradual," he said.
The Brent price grew significantly on Thursday after Novak said that the country had agreed on oil export cuts. On Friday in the morning, the price stood at U.S. $87.02, and its later dynamics may be affected by the U.S. ISM (Institute for Supply Management) Manufacturing Index, employment and jobless claims reports, BitRiver’s financial analyst Vladislav Antonov said.
According to Alor's Antonov, Saudi Arabia might support the prices, yet the terms of the agreement with Russia are unknown, which is why it is risky to open short positions.
The ruble may continue decreasing in September after a short period of strengthening at the end of August. The dynamics would depend on the U.S. Federal Reserve System (Fed) and the Russian central bank's polices, as well as the oil price dynamics, Antonov from BitRiver said.
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